MEBA
Edition

MARINE ENGINEERS' BENEFICIAL ASSOCIATION (AFL-CIO)
         
"On Watch in Peace and War Since 1875"

M
EBA TELEX TIMES              JANUARY 05, 2007

The Official Union Newsletter

NUMBER 1


In this issue...
Final TWIC rule issued...New Congress gets started...OSG accepting resumes...News carnivores can gnaw on a beefed-up M.E.B.A. marinade of maritime tenderloins grilled to perfection. Always well-done, we skewer boneless, dead-meat newsletters and roast their rumps as we charbroil a seasoned slab of prime industry cutlets. The USDA Grade A Telex Times is the filet mignon of newsletters -- we steak our reputation on it!

AMOs McKAY BROTHERS CONVICTED; SENTENCING AWAITS
AMO President Mike McKay and his brother Secretary-Treasurer Bobby McKay were convicted of a damning array of charges stemming from their theft of union dues for their own gain and election-rigging as a jury issued their verdict at the close of business. Preliminary reports indicate that the AMO President was convicted on all but one of the charges against him in his federal racketeering trial. It appears that his brother Bobby was found guilty of all charges.

Their convictions could result in prison sentences for the duo of up to 30 years in prison apiece. The Telex Times has been told that a trial to determine monetary forfeiture due to their criminal acts has been scheduled for the end of this month. Sentencing is expected to take place in late March.

As stated earlier in the Telex Times, the McKays were accused of fixing the 1993 and 1996 elections of union officials. The indictment alleged that they secretly destroyed ballots cast in favor of their political opponents in the 1993 and 1996 union elections. It further stated that they fraudulently deprived AMO members in the form of salaries for themselves as President and Secretary-Treasurer. Among many other charges, the AMO President was accused of misusing AMO plans money to purchase hockey tickets and hire exotic girls. Prosecutors said, and wiretaps appeared to bear out, that Mike McKay used underhanded tactics to use member money to repair two of his personal scuba diving boats. It had been alleged that the vessel repair yard inflated the cost of the repairs and then made cash contributions into AMOs political action committee.

The indictment also leveled conspiracy charges against the two alleging they arranged for the printing of extra mail ballots for the 93 and 96 elections. It alleged that the McKays would mark the fraudulently reprinted extra ballots for themselves and then substitute the newly marked extra ballots for the ballots they had destroyed. According to the indictment, the fraud did not just stop with the officer elections, it alleged that the McKay brothers fraudulently destroyed ballots cast by the rank and file AMO members that opposed constitutional referendums put before the membership.

Further, the indictment alleged the McKay brothers of illegal manipulation of federal election rules saying that the McKays and others directed AMO union and vacation plan employees and vendors to pay thousands of dollars in campaign contributions to unnamed members of Congress. The McKays then ordered the payment of phony bonuses to the Union and AMO vacation plan employees in net amounts that would cover their out-of-pocket campaign contributions. As for the AMO and AMO vacation plan vendors, the indictment alleged that the McKays directed the vendors to submit phony and inflated bills for reimbursement so that they could also recoup their out-of-pocket campaign contributions. In this way, the indictment alleged that the McKays used union and vacation plan assets to make federal election campaign contributions.

The McKays originally were indicted in June 2005 but since then, the U.S. Attorney obtained two superseding indictments against them. To see the full Second Superseding Indictment visit
http://www.meba.us /docs/AMO%20Indictments.pdf or visit the MEBA Hot! site at www.meba.us.

Early information indicates that the only charge that was not proven against Mike McKay by federal authorities was Count 2 revolving around Plans money used for such personal items such as hockey tickets.

A statement placed on the AMO website from embattled AMO President McKay in December 2006 tried to reassure members that he and his brother were wrongfully prosecuted in this matter and that he would somehow relate the truth to members one day once the courts vindicated them. Robert and I are innocent of all charges, and we remain certain that the jury will see it that way. And we wait for the day when this story can be told in its entirety.

This Tuesday, Mike McKay posted an eloquently penned message assuring members of his impending exoneration saying that, "Defense counsel did an excellent job dismantling the federal governments case." That statement seems ludicrous on its face based on preliminary information that the McKays deferred their right to mount a defense and failed to call a single witness.

McKay had led AMO members on for months following his indictment on federal charges proclaiming his complete and utter innocence. Those assurances seem to have helped his re-election bid in a close vote that concluded last month in his favor. However, AMO members voted Bobby McKay out of office replacing him with tanker captain Jose Leonard as the new Secretary-Treasurer. Leonard was part of a slate of AMO members seeking to bring democracy to the union.

The AMO Constitution had provided for the unions Secretary-Treasurer to ascend to the top spot should the President be unable to serve. But as reported several weeks ago in the Telex Times, the incumbent executive board of the AMO pulled an end-around on AMO members by rewriting the Constitution and breaking that prescribed succession chain. The new language of the AMO Constitution, which was hustled through AMOs three constitutional offices for a quickie approval, allows the AMO board to pick a new union boss amongst themselves.

The felony convictions preclude Mike McKay from serving in union office though he will perhaps pursue an appeal. Jose Leonards succession to the AMO presidency is highly improbable and the incumbent board will likely appoint one of their own to pick up where the McKays left off. Further updates on this breaking news story will appear in a forthcoming edition of the newsletter.

FINAL RULE ISSUED ON TWIC
The Transportation Security Administration (TSA) and U.S. Coast Guard have issued a final rule governing the issuance of Transportation Worker Identification Credentials (TWIC) for the maritime sector. The rule implements the Maritime Transportation Security Act of 2002 and the Security and Accountability for Every Port Act of 2006 which were designed to further secure our nations ports.

Those statutes establish requirements regarding the promulgation of regulations that require credentialed merchant mariners and workers with unescorted access to secure areas of vessels and facilities to undergo a security threat assessment and receive a biometric credential, known as the TWIC. TWIC enrollment will begin in March of 2007, initially at a small number of ports. Additional TWIC deployments will increase and continue throughout the year at ports nationwide on a phased basis. Workers will be notified of when and where to apply prior to the start of the enrollment period in their given area. After issuance of TWIC cards to a ports workers has been accomplished, DHS will at each port establish and publish a deadline by which all port workers at that port will thereafter be required to possess a TWIC for unescorted access. The rule is expected to impact more than 750,000 port employees, longshoreman, mariners, truckers and others who require unescorted access to secure areas of ports and vessels.

DHS says that the final rule will enhance port security by requiring such security threat assessments of persons in secure areas and by improving access control measures to prevent those who may pose a security threat from gaining unescorted access to secure areas of ports.

In this rule, the Coast Guard amended its regulations on vessel and facility security to require the use of the TWIC as an access control measure. The Coast Guard also amended its merchant mariner regulations to incorporate the requirement to obtain a TWIC. However, the final rule does not include the card reader requirements for owners and operators which had appeared in its Proposed Rule in May 2006. They note that the issue will be addressed in a future rulemaking. The Coast Guard said that they will institute periodic unannounced checks to confirm the identity of the TWIC holder.

With this final rule, TSA applied its security threat assessment standards that currently apply to commercial drivers authorized to transport hazardous materials in commerce to merchant mariners and workers who require unescorted access to secure areas on vessels and at maritime facilities. To minimize redundant background checks of workers, TSA amended the threat assessment standards to include a process by which TSA determines if a security threat assessment conducted by another governmental agency or by TSA for another program is comparable to the standards in this rule.

TSA amended the qualification standards by changing the list of crimes that disqualify an individual from holding a TWIC or a hazardous materials endorsement. The agency also expanded the appeal and waiver provisions to apply to TWIC applicants and air cargo employees who undergo a security threat assessment. These modifications include a process for the review of adverse waiver decisions and certain disqualification cases by an administrative law judge (ALJ). TSA also extended the time period in which applicants may apply for an appeal or waiver. Finally, this rule establishes the user fee for the TWIC and invites comment on one component of the fee,
the card replacement fee.

M.E.B.A. is still reviewing the 479 page regulation to better determine what impact it will have on our members. We continue to work with the rest of maritime labor as well as Members of Congress to ensure that the new system wont place an undue burden on our mariners.

Some highlights of the final rule include:

Security threat assessment TWIC applicants will undergo a comprehensive background check that looks at criminal history records, terrorist watch lists, immigration status, and outstanding warrants. If no adverse information is disclosed, TSA typically completes a security threat assessment in less than ten days.

Technology The credential will be a Smart card containing the applicants photograph and name, an expiration date, and a serial number. In addition, an integrated circuit chip will store the holders fingerprint template, a PIN chosen by the individual, and a card holder unique identifier.

Use During the initial rollout of TWIC, workers will present their cards to authorized personnel, who will compare the holder to his or her photo, inspect security features on the TWIC and evaluate the card for signs of tampering. The Coast Guard will verify TWIC cards when conducting vessel and facility inspections and through spot checks using hand-held readers to ensure credentials are valid. Until card reader technology is tested and a regulation issued on access control, facility owners and operators will not be required to utilize TWIC readers for facility access.

Cost The fee for TWIC will be between $139 and $159, and the TWIC cards will be valid for 5 years. Workers with current, comparable background checks including a merchant mariner document, HAZMAT endorsement to a commercial drivers license, or Free and Secure Trade (FAST) credential will pay a discounted fee, between $107 and $127. The exact amount of the fee will be established and published in early 2007.

Biometric data Applicants will provide a complete set of fingerprints and sit for a digital photograph. Fingerprint checks will be used as part of the security threat assessment. Fingerprint templates extracted from the biometric data will be stored on the credential.

Privacy and information security The entire enrollment record (including all fingerprints collected) will be stored in the TSA system, which is protected through role-based entry, encryption and segmentation to prevent unauthorized use. Employees of a vendor under contract to TSA known as Trusted Agents will undergo a TSA security threat assessment prior to collecting biometric and biographic data of TWIC enrollees. All enrollee personal data is deleted from the enrollment center work stations once the applicant completes the process.

110th CONGRESS KICKS OFF
House and Senate members returned to Washington last week for the start of the 110th Session of Congress. President Bush faces opposition to his leadership on Iraq and to his domestic agenda from the new Democratic House and Senate leaders. Rep. Nancy Pelosi entered the history books as Americas first woman Speaker of the House.

This session of Congress begins with Democrats back in control of Congress after 12 years of uninterrupted Republican control of the House of Representatives. Republicans had been in the majority in the Senate for almost 11 years, interrupted only once for a 1 ½ year period of Democrat control.

Democrats come to power at a time of war and will soon take up the issue of President Bushs surge of troops into Iraq. Democrats also will have to deal with 6 years of budget deficits, a legacy of Bushs tax cuts and Congressional earmarks, and must decided if they will allow those tax cuts to expire and if they will rein in earmarks. Speaker Pelosi's first 100 hours in power will be dedicated to ethics reform, improving student loans for college, raising the minimum wage and helping small businesses. The United States Merchant Marine and the M.E.B.A. are in good shape as the 110th Congress begins with many longtime legislative friends in important leadership roles such as Chairman Jim Oberstar of the House Transportation and Infrastructure Committee, Chairman Ike Skelton of the House Armed Services Committee, and Senator Dan Inouye chairing the Senate Commerce, Science and Transportation Committee.

SWEARING-IN DAY FESTIVITIES
On January 4, 2007, many of the freshman members of the House and Senate held open houses and receptions to mark the occasion of their swearing in and the start of the 110th Congress.

M.E.B.A. canvassed Capitol Hill as Union members called on Speaker Nancy Pelosi, Senate Majority Leader Harry Reid and many other members including:

House Majority Whip Jim Clyburn (D-SC), House Appropriations Chairman David Obey, Senator Edward Kennedy (D-MA), Senator Jim Webb (D-VA), Senator Barbara Boxer (D-CA), Congresswoman Candice Miller (R-MI), Congressman Ron Klein (D-FL), and Congressman John Sarbanes (D-MD).

THIN MARGIN FOR THE DEMOCRATS IN THE SENATE
By a one seat margin Democrat Harry Reid of Nevada became the new Majority Leader of the Senate. Reid leads a coalition of 49 Democrats and 2 Independents in his majority. The minority is made up of 49 Republicans.

Underscoring the razor thin margin of Reids majority is the illness of Democratic Senator Tim Johnson of South Dakota. Johnson underwent surgery for an intracranial hemorrhage caused by an arteriovenous malformation on December 13th. Had Johnson's health taken a turn for the worse the Republican governor of South Dakota could have appointed a Republican to fill the vacancy and put the Republicans back in charge of the Senate. Johnson continues to recover at George Washington University Hospital in Washington, DC.

OSG ACCEPTING RESUMES FOR NEWBUILD TANKERS
Overseas Ship Management, Inc. is currently seeking resumes from M.E.B.A. members for future Chief Engineer, First, and Second Assistant Engineer positions that will become available due to the expansion of their U.S. flag fleet as the Company takes delivery of the new Veteran MT-46 class Jones Act Product Tankers currently under construction at the Aker Philadelphia Shipyard.

Interested members should indicate their prior tanker experience in the resume or attached cover letter and send to OSG America, Inc. c/o Mr. John Dragone, Two Harbour Place, 302 Knights Run Avenue, Suite 1200, Tampa, FL 33602 phone (813) 209-0600 and fax (813) 221-2769

ADM. KRAMEK JOINS ARMADA
Four-star Admiral Robert Kramek who served as Coast Guard Commandant several years ago will help one of M.E.B.A.s contracted companies pack more of a punch. Armada Companies LLC which was formed a little over a year ago will bring Adm. Kramek onboard as chairman of its advisory committee.

The company said that Kramek will provide strategic focus to the company's development as an international maritime services provider. Kramek takes the job after serving for years as a top official with the American Bureau of Shipping including as President. Armada CEO Bobbi Wolff said, The Admiral is a wonderful addition and a great fit with our team. We are looking forward to working with him and are confident that the wealth of knowledge, experience and expertise he brings will be of great benefit to Armada and to our customers.

Our contract with Armada helps provide employment for or members in a variety of capacities including in shoreside opportunities.

CMES STUDENT PHYSICALS WILL BE IN JANUARY AT BALTIMORE CLINIC
Members attending courses at the Calhoon M.E.B.A. Engineering School will
next have the opportunity to get a physical at the Baltimore Clinic on Saturday, January 20, 2006. Up to seven students can sign up for this field trip.

The School will provide transportation if needed. Those wishing to sign up can contact Laurie Swaine at (410) 822-9600, ext. 200 or e-mail her at lswaine@mebaschool.org.

NEXT REGULAR MONTHLY MEETINGS
Monday January 8 Boston, Seattle;
Tuesday, January 9 Baltimore, Houston, Jacksonville, San Francisco;
Wednesday, January 10 - Calhoon M.E.B.A. School, Charleston, New Orleans, Portland;
Thursday, January 11 - Los Angeles, New York, Norfolk, Tampa;
Friday, January 12 - Honolulu.

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